Bitcoin Price Could Skyrocket on Wall Street Allocations
Bitcoin's price could reach an astonishing $250,000 to $840,000 over the next three to five years if Wall Street allocations grow. According to a new adoption model by River, this scenario assumes that 20% to 40% of global investment portfolios will allocate 2% to 4% to Bitcoin.
This range reflects recommendations from major financial institutions, which often suggest allocating between 1% and 7% to Bitcoin. Against an estimated $333 trillion global financial asset base, these assumptions would imply roughly $1.3 trillion to $5.3 trillion in net inflows into Bitcoin.
The model also assumes that every dollar entering Bitcoin creates roughly $3 in market value, based on the cryptocurrency's historical price behavior. This would translate to a bitcoin market value of about $5.5 trillion to $17.5 trillion and a corresponding price of around $250,000 to $840,000 per coin.
Adoption among financial advisers is already moving higher, with 56% planning to add exposure or considering doing so. Meanwhile, 29 of the 30 largest U.S.-registered investment advisers now hold Bitcoin, although the median allocation remains only about 0.10%.